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Uber and Lyft are reportedly interested in acquiring Skedaddle, the crowdsourced bus startup, according to TechCrunch. Skedaddle, which was founded in 2015, enables individuals to charter private bus rides for long distances, generally for events like music festivals, via a mobile app. Once enough riders sign up for a particular ride, it is booked. Both Uber and Lyft have been working to diversify beyond their core ride-hailing businesses, and acquiring Skedaddle would play nicely into the strategy of either company.
- Over the last year, Uber has made a number of moves beyond its core offering.Uber recently expanded into car rental services and reportedly paid $100 million to acquire a bike-sharing startup. The company also remains dedicated to scaling up its food delivery business, Uber Eats, which is the fastest-growing meal delivery service in the US and already profitable in 40 US cities.
- Lyft recently made a substantial investment to give users more transportation options. Just two weeks ago, Lyft acquired bike-sharing company Motivate for a reported $250 million, according to Smart Cities Dive. Motivate is the largest bike-sharing company in the US, with operating contracts across the country, including Citi Bike in New York City and Ford GoBike in San Francisco. Lyft has also applied for a permit to deploy scooters in San Francisco.
Uber and Lyft will have to continue adopting new services to maintain their market positions. Legacy automakers have been aggressively introducing mobility solutions of their own in an effort to hold back tech challengers, such as Uber and Lyft. For example, over the last few years, GM, BMW, and Daimler, have all introduced ride-sharing or ride-hailing services. If Uber and Lyft are able to keep riders on their platforms, regardless of what type of transportation or what service a rider wants to use, they could strengthen their positions in the transportation industry, making it more difficult for legacy players to fend them off.